ComplyIN2

🚨 Attention Recruitment Sector: Wake Up and Smell the Coffee! 🚨 https://lnkd.in/e9nB-Mkb Your reputation and brand are at risk! HMRC is cracking down on dodgy payroll providers, and they know who you are. Don't wait until April 2026 to make changes - act now or expect a shock and a knock on your door. Non-compliant umbrella companies are shutting shop or being shut down every day. The risks are real: • Tax compliance checks • Liability for contractors' unpaid taxes • Penalties for enabling tax avoidance schemes • Reputational damage and loss of business Protect yourself: Regularly check HMRC's blacklist of tax avoidance schemes https://lnkd.in/eZTs4Bbk Verify PAYE compliance with sample payslips Include indemnity clauses in contracts Educate your contractors about tax avoidance risks The clock is ticking. Don't be caught off guard. Are you encouraging or committing fraud! Ensure compliance now and safeguard your business for the future. #RecruitmentCompliance #PayrollSafety #HMRCWarning

A REMINDER TO CLAIM YOUR HOLIDAY PAY - Never agree to accrued Holiday Pay! The UK government has approved a new policy allowing temporary workers to receive their holiday pay as part of their regular wages. This is known as rolled-up holiday pay, and it is expected to give millions of temps a pay boost worth thousands of pounds each year. Rolled-up holiday pay is already common in some industries, but it has not been available to all temporary workers until now. The new policy will apply to all irregular-hour workers and part-year workers, which includes around 1.6 million people in the UK. Many temp workers are not even aware that they are entitled to holiday pay and that means many have never claimed it. There are cases where umbrella companies have pocked worker holiday pay, which is something that is under scrutiny among other unjust payroll practices by several contractor advocacy groups and law firms. Temp workers who qualify for rolled-up holiday pay will receive it in addition to their regular wages. This means they will be guaranteed to receive their holiday pay, even if they do not take all their holidays. It will be paid into each pay cheque rather than when they take their holiday. The government estimates that rolled-up holiday pay could boost the average temp worker’s pay packet by as much as £1,000 per year. This is a significant amount of money, especially for low-paid workers. The new policy is a welcome move for temp workers, who often have less bargaining power than permanent employees. It is also a good step towards ensuring that all workers are treated fairly, regardless of their employment status. Temp workers and umbrella company contractors should start to see their holiday pay rolled up into their regular wages in early 2024. They should ensure their payroll or umbrella company abides by this new rule. If they do not you should immediately get in touch with HMRC. Here’s how holiday entitlement works in the UK At the time of writing, everyone in the UK is entitled to statutory paid holiday. This is the minimum amount of paid holiday that employers must give to their workers. The amount of statutory paid holiday you are entitled to depends on how many days a week you work. Most workers are entitled to 28 days’ paid holiday per year. This is the equivalent of 5.6 weeks of holiday. However, there are some exceptions to this rule. For example, workers under the age of 18 are entitled to 20 days’ paid holiday per year, and workers who work part-time are entitled to a pro-rata amount of holiday. Working part-time Part-time workers are entitled to at least 5.6 weeks paid holiday, but this will amount to fewer than 28 days. For example, if they work 3 days a week, they must get at least 16.8 days’ leave a year (3 × 5.6). To read more, go here: Holiday entitlement: Entitlement – GOV.UK (www.gov.uk) Calculate holiday pay here: Calculate holiday entitlement – GOV.UK (www.gov.uk)

TAX AVOIDANCE – Enablers/Promoters/Hitlist Recruiters if you are involved in any of the tax avoidance schemes shown on this page, or recognise any of the promoters, enablers, or suppliers, you should contact HMRC as soon as possible. There are other schemes, promoters, enablers, and suppliers that HMRC cannot publish information about at this time. This may be because: HMRC is gathering information about the promoter, enabler, supplier, or avoidance schemes being marketed HMRC is considering representations from a promoter, enabler, or supplier the appeal period for not withdrawing a stop notice has not ended HMRC is not aware of the tax avoidance scheme, promoter, enabler, or supplier HMRC are freezing bank accounts and issuing a cease-and-desist notice You can also check the list of tax avoidance schemes subject to a Stop Notice. Most recently named promoters The most recent additions and updates to the list of named tax avoidance schemes, promoters, enablers, and suppliers in section 3 below were published on 5 December 2024. New additions: Acquda Solutions Limited First Paye Consultants Limited https://lnkd.in/eZTs4Bbk #taxevasion #umbrellacompany #compliance

🚨 HMRC Asset Freezes: A Wake-Up Call for Payroll Providers/End Clients & Recruitment Businesses 🚨 When HMRC freezes assets and bank accounts of payroll providers serving contractors via end clients or recruitment businesses, the consequences can be severe:   Immediate cash flow crisis: Unable to access funds to pay contractors   Reputational damage: Loss of trust from clients and contractors   Legal complications: Potential breach of contractual obligations   Operational paralysis: Inability to process payments or manage day-to-day operations   Financial instability: Risk of insolvency due to frozen assets The ripple effect can be devastating: • Contractors left unpaid • End clients facing project delays • Recruitment businesses scrambling to find alternative payment solutions   This situation underscores the critical need for robust compliance measures and transparent financial practices in the payroll industry.   Don't let your business become a cautionary tale – ensure you're operating within HMRC guidelines to protect your reputation and financial stability.   Contact ComplyIN2 - for a risk assessment and supply chain audits…   #PayrollCompliance #HMRCRegulations #FinancialRiskManagement

HOLIDAY PAY - Scandal..... 📢 Attention all temporary and contract workers!   Did you know that you're entitled to holiday pay, even on short-term assignments? 🏖️💰 Many companies encourage temp workers to accrue holiday time, but here's the catch: if you forget about your holiday pot when you leave, some unscrupulous employers might pocket YOUR hard-earned money.   In this cost-of-living crisis, every penny counts. It's outrageous that some companies are profiting from workers' unused holiday pay.🚨 Remember: • Holiday pay is YOUR legal right • It's YOUR money, not the company's • You should be paid for any unused holiday when your contract ends   Don't let your hard-earned cash slip away!   Always claim your full holiday pay entitlement when your assignment ends.   If you've left a job recently, check if you have any unclaimed holiday pay.   It's never too late to reclaim what's rightfully yours.   Share this post to spread awareness and help fellow workers get what they deserve! 💪 https://lnkd.in/emqcf_Sq #WorkersRights #HolidayPay #TempWorkers #FairPay #KnowYourRights 

🚨 Alarming Growth in Umbrella Company Non-Compliance 🚨 The umbrella market has seen a staggering increase in non-compliance over the past 15 years. HMRC data reveals that umbrella companies engaged at least 700,000 workers in 2022-2023, with at least 475,000 of these workers involved with non-compliant companies This is a dramatic rise from just 100,000 workers in 2007-08 Even more shocking: • £500 million lost to disguised remuneration tax avoidance schemes in 2022-2023 • Potential £4.5 billion annual cost to workers and the exchequer • Up to £1 billion in lost revenue from fraud, including mini-umbrella companies (EDM Models) It's baffling that individuals and businesses continue to risk engagement with non-compliant payroll providers. The consequences are severe, including unexpected tax bills and potential legal ramifications. ⚠️ WARNING: If you're involved with a non-compliant umbrella company, cease all activities immediately and seek legal counsel. The government is taking action, with new legislation coming in April 2026 Don't wait – protect yourself now. Speak with ComplyIN2 for an audit and compliance consultation. Do you recognise any of the following names with more to follow:- The most recent additions and updates to the list of named tax avoidance schemes, promoters, enablers, and suppliers in section 3 below were published on 28 November 2024. New additions: Astra Limited (Incorporated in Isle of Man) Greenlight Payroll Services Limited Clear Water Administration Limited Titan Payment Solutions Limited https://lnkd.in/eZTs4Bbk #PayrollCompliance #TaxFraud #LegalWarning #UmbrellaCompanies

Recruitment business owners, it's time to reassess your use of Umbrella Companies in light of recent developments and potential pitfalls. Here are some key considerations and practices to avoid: Key Considerations Regulatory Changes: The Autumn Budget 2024 has introduced significant changes that will impact the use of umbrella companies. From April 6th, 2026, recruitment agencies will be legally responsible for deducting PAYE on payments to contractors employed via umbrella companies This shift aims to reduce PAYE fraud and will likely decrease the use of umbrella companies due to increased administrative burdens. Financial Implications: The increase in Employer NICs and changes in the secondary threshold will affect contractors' take-home pay, potentially making umbrella arrangements less attractive Agencies need to prepare for possible negotiations over day rates to offset these impacts. Compliance and Risk Management: Ensure that any umbrella company you work with is fully compliant with HMRC regulations. Non-compliance can lead to severe penalties, debt transfer and reputational damage https://lnkd.in/ezw44hdD Umbrella/Accountancy Practices to Avoid Elected Deducted Models (Mini Umbrella Companies): Avoid models where deductions are made without explicit consent from contractors, as this could lead to unlawful wage deductions EBT Loan Schemes: These schemes are often used for tax avoidance and can result in significant legal repercussions if deemed non-compliant by HMRC Offshore Companies: Engaging with companies registered offshore can complicate compliance and increase the risk of involvement in tax avoidance schemes Lack of Transparency: Avoid working with companies that do not have a visible presence, such as no LinkedIn profiles or lack of accreditation/audits. Transparency is crucial for ensuring legitimacy and trustworthiness By considering these factors and avoiding these pitfalls, you can better navigate the evolving landscape of using umbrella companies, ensuring compliance, and safeguarding your business's reputation. For a review and full audit of your current outsourced payroll suppliers contact ComplyIN2 #umbrellacompany #compliance #debttransfer

Congratulations to Magnit on a successful summit held yesterday at the London Museum conference hall on London Wall! 🎉 A special thank you to Sam Jackson for the invitation and hosting the whole day along with his Magnit colleagues and advisors. Also to all the sponsors including Pure Pro who were a guest of SupplyIN2 Limited. The event brought together a vibrant group of recruitment and commerce leaders, all eager to explore the evolution of work in 2025 and beyond. The discussions were insightful, highlighting innovative strategies and emerging trends that will shape our industries in the coming years. It's inspiring to see such collaboration and thought leadership in action. Here's to continued success and impactful conversations! To be involved in a potential sponsorship opportunity for the 2025 summit contact Adam Jordan #Magnit #Summit2024 #EvolutionOfWork #Leadership

Recruitment Businesses and End Clients - Start to make changes to your outsourced payroll suppliers! As the recruitment landscape evolves, compliance across all third-party suppliers, especially umbrella payroll providers, is becoming increasingly crucial. Here's why: Compliance is no longer just a buzzword - it's the backbone of ethical and sustainable recruitment practices. With regulatory bodies intensifying their scrutiny, recruitment businesses must ensure their entire supply chain adheres to stringent compliance standards. Umbrella payroll providers, in particular, are under the microscope. Recent HMRC spot checks have highlighted the risks of partnering with non-compliant umbrellas, including potential tax avoidance schemes that can severely damage your agency's reputation and financial stability with the introduction of debt transfer from April 2026. Key areas of focus include: • Employment law compliance • Tax obligations • Data protection (GDPR) • Anti-discrimination practices • Ethical labour standards https://lnkd.in/ek-96-aj By prioritising compliance, you're not just avoiding legal pitfalls - you're building trust with clients, protecting your brand, and fostering a fair and inclusive recruitment ecosystem. Remember, your agency is responsible for due diligence on all third-party suppliers. This includes verifying their legal compliance, financial viability, and integrity levels. Don't leave your business exposed to unnecessary risks. Invest in comprehensive supply chain compliance to safeguard your reputation and ensure long-term success in the dynamic world of recruitment. For a thorough audit, review, and expert consultation on your supply chain compliance, reach out to ComplyIN2. Let's work together to build a more transparent and ethical recruitment industry. #RecruitmentCompliance #SupplyChainIntegrity #EthicalRecruitment #ComplyIN2

Who Decides the Future of Umbrella Companies? The recent Budget announcement has shifted the responsibility for tax and National Insurance contributions onto recruitment businesses and end clients from April 2026. This significant change raises questions about the future of umbrella companies. Ultimately, the decision of whether to continue using umbrella companies will rest with end clients and recruitment businesses. They will need to weigh the costs, benefits, and potential risks associated with this shift. Key factors to consider: Cost implications: The additional financial burden on businesses. Administrative complexity: Increased paperwork and compliance requirements. Impact on contractor earnings: Potential changes to take-home pay. Risk management: Mitigating risks associated with tax and employment law. As the industry adapts to this new landscape, it's crucial to stay informed and explore alternative solutions to ensure a sustainable future for contractors and businesses alike. We will be regularly monitoring the direction and decisions being discussed and made over the next 18 months and keep all informed of outcomes and solutions. ComplyIN2 ContractIN2 Tech Contracts Online #ContractingIndustry #UmbrellaCompanies #Recruitment #Tax #Finance #Business